“I don’t want to move from AC Milan. It is my home and I have had no contact with other clubs over the past few days.”

Instead, Starsport understands Chelsea are closing in on 49-year-old Roma coach Spalletti – the 2006 Serie A Coach of the Year.

Sources close to the Blues confirmed another Italian was in the frame but stressed it was not Roberto Mancini or Marcello Lippi.

Spalletti might not appear the obvious pick, but the way he revitalised Udinese – taking them to fourth spot and a Champions League place – before transforming Roma from a dour, defensive unit to an attacking force after taking over in 2005 has won him many plaudits.

Last season he led Roma to second place behind Inter Milan, missing out on the title on only the last day of the season.

He also masterminded home and away 2-1 Champions League wins over Real Madrid before losing 3-0 on aggregate to eventual winners Manchester United in the quarter-finals.

It is understood Spalletti does not speak much English but it seems owner Roman Abramovich is determined to bring in a coach with more European pedigree than Mark Hughes of Blackburn, who is chief executive Peter Kenyon’s pick. If Spalletti does turn out to be the man in an amazing managerial merry-go-round it could be the Blues will also try to sign midfielder Daniele De Rossi or Alberto Aquilani – or maybe even both if Frank Lampard leaves to join Jose Mourinho at Inter Milan.

Roma will, of course, be reluctant to let Spalletti go but unlike AC Milan the club have major financial problems, with parent company, Italpetroli, having debts in the region of £300m.

And hopes of a possible rescue by billionaire financier George Soros were dashed yesterday – giving Spalletti another reason to leave.

A statement to Italy’s stock market regulator said: “Contrary to what has been reported in the international press, George Soros has no longer a direct or indirect interest in the acquisition of AS Roma.”

Instead it could be that Abramovich’s huge wealth may provide a big enough offer to smooth the deal through and Chelsea will at last have a new boss to succeed Avram Grant.